Just Eat share price jumps as takeaway firm reports 42 per cent increase in orders
Just Eat has reported a jump in order numbers in 2016, which in turn pushed revenues and profit up.
The figures
Orders were up 42 per cent to 136.4m, from 96.2m in 2015, and up 36 per cent on a like-for-like basis.
Revenues increased 52 per cent to £375.7m from £247.6m, and underlying earnings before income tax, depreciation and amortisation rose 93 per cent to hit £115.3m.
Pre-tax profit was up 164 per cent to £91.3m from £34.6m, and basic earnings per share increased by 182 per cent to 10.7p.
The company's share price rose five per cent at the open.
Why it's interesting
Just Eat has been gobbling up rivals with a series of acquisitions over the last few years – in December the group picked up Hungryhouse and SkipTheDishes, and these deals followed significant overseas investment.
Today, the company said it had "consolidated our market leadership in every geography where we operate", reflected in the strong order growth numbers. Just Eat also noted that the number of orders placed via mobile devices rose last year, making up 73 per cent of group orders, compared with 66 per cent the year before.
What Just Eat said
"We continue to see strong growth in the UK, adding materially more revenues in absolute terms than the year before," said chief executive David Buttress, who announced his departure from the group last month.
"Our international businesses also go from strength to strength; having become profitable in aggregate during the year, they continue to grow rapidly and now represent over one-third of group revenues.
"The acquisitions we made in Italy, Spain and Mexico have significantly enhanced our operations in those countries, and we are excited by the addition of SkipTheDishes to our Canadian business towards the end of the year."
Buttress added that "2016 was an important year operationally, positioning the business very positively for the future".
"We continued to invest in our technology, brand and people to expand the choice we offer consumers and the benefits we deliver to our restaurant partners," he continued.
"Our markets remain relatively under-penetrated, meaning there is considerable runway to generate sustainably profitable growth across the business."